loss of all income during bankruptcy

March 2nd, 2010 by Questions

I did my bankruptcy during a period that I was on unemployment and now has run out. I have to pay a monthly fee to my trustee but now I am without income. Are these montly fees at the discretion of the trustee or is this non negotiable and what are the consequences? I was already yelled at by the office sectretary and know I`m afraid to talk to anyone at all.

Posted from: Quebec


One Response to “loss of all income during bankruptcy”

, A licensed trustee said:

You’re not going to like my answer…

The consequences of not paying the required amounts to your trustee are that your bankruptcy will not be completed. At some point, your trustee will simply close the file and re-instate your creditors’ rights to come after you. (In other words, if the file is closed without being completed you still have all of the debt).

You need to look back at how much debt you owe vs how much you are required to pay your trustee. The average person we see owes around $50,000. Most people pay around $1400 to file for bankruptcy.

Make an appointment to see your trustee – most recognize that the economy is in a shambles and that EI is running our for people, but if you want relief from the debt you need to find a way to complete your bankruptcy.

Sorry, but you can’t have your cake and eat it too.

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